Tuesday, November 16, 2010

News:India mobile licence sale lost billions, auditors say

16 November 2010 Last updated at 13:22 GMT
India's former telecommunications minister Andimuthu Raja undersold mobile phone licences worth billions of dollars, federal auditors say.

Their report to parliament says rules were flouted in the 2008 sale of second-generation (2G) spectrum.

Licences in the lucrative market had been sold at "unbelievably low prices" - the loss to the government could be as high as $39bn, the report said.

Mr Raja resigned over the weekend, denying any wrongdoing.

The former communications and information technology minister said he wanted "to avoid embarrassment to the government" and allow parliament - which has been in uproar - to function normally.

He is accused of issuing the licences on a "first-come, first-served" basis instead of auctioning them. An auction of 3G bandwidth in May ended up reaping $15bn, twice the sum expected.

Mr Raja was quoted by the Indian media on Tuesday as saying that the government's position on the matter had been filed in an affidavit before the Supreme Court - and that he could not comment any further as the case was sub judice.


more here

No comments:

Post a Comment